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Feature Story 
December 01, 2006
SCHIP 101: What Is the State Children's Health Insurance Program, and How Does It Work?

Families USA:

The SCHIP program will expire in 2007 unless it is reauthorized by Congress.

Reauthorization provides an opportunity to review how SCHIP works, examine what has been learned about children's health coverage in the last 10 years, and discuss what Congress must do to continue the progress made in reducing the number of uninsured children.

More information on children's health coverage through SCHIP and Medicaid is available on the Families USA Web site at www.familiesusa.org/issues/medicaid/.

The State Children's Health Insurance Program (SCHIP) was enacted by Congress in 1997 to increase health insurance coverage for low-income children.

Increase the current income limits so more children become eligible for Medicaid; Develop a new, separate health insurance program that may have different rules and Do a combination of the two.

Most states provide coverage for uninsured children with family incomes up to two times the federal poverty level.

anism for reallocating unspent SCHIP money from states that don't use their full allotments to states that do use all of their allotments and need extra SCHIP funds.

This means that the federal government SCHIP money.

In fact, as of October 12, 2006, an estimated 17 states will have exhausted all of their SCHIP funds in 2007 and will have a shortfall of nearly $930 million,8 which could jeopardize the coverage of up to 640,000 children.

States and private groups have done extensive outreach to inform low-income families about SCHIP.

Posted on December 1, 2006 07:48 AM



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